EX-7.05 3 a2166017zex-7_05.htm EXHIBIT 7.05

Exhibit 7.05

 

FIRST AMENDMENT TO AMENDED AND RESTATED

EXCHANGE AGREEMENT

 

This FIRST AMENDMENT TO AMENDED AND RESTATED EXCHANGE AGREEMENT (this “Amendment”) is made and entered into as of December 14, 2005, by and among INSIGHT COMMUNICATIONS COMPANY, INC., a Delaware corporation (the “Company”), INSIGHT ACQUISITION CORP., a Delaware corporation (“Parent”), SIDNEY R. KNAFEL (“Knafel”), MICHAEL S. WILLNER (“Willner”) and CARLYLE PARTNERS III TELECOMMUNICATIONS, L.P., CARLYLE PARTNERS IV TELECOMMUNICATIONS, L.P., CP III COINVESTMENT, L.P. and CP IV COINVESTMENT, L.P., each a Delaware limited partnership (each, individually, and collectively, “Carlyle”) (the Company, Parent, Knafel, Willner and Carlyle are each sometimes referred to herein individually as a “Party” and, collectively, as the “Parties”).  Capitalized terms used but not defined in this Amendment shall have the meanings set forth for them in the Amended and Restated Exchange Agreement, dated as of November 10, 2005 (the “Exchange Agreement”), by and among the Parties and the other parties thereto.

 

WHEREAS, pursuant to an Exchange Agreement Joinder, dated as of the date hereof (the “Joinder”), Adeline Kempner (“Kempner”) has agreed to become a party to, and to be subject to the rights and obligations under, the Exchange Agreement as a Holdco Continuing Investor thereunder and has agreed to contribute to Holdco 14,421 shares of Class A Common Stock in exchange for a corresponding number of Series C Non-Voting Units, pursuant to Section 1.4 of the Exchange Agreement; and

 

WHEREAS, the Parties desire to amend the Exchange Agreement to reflect the addition of Adeline Kempner as a party to the Exchange Agreement as a Holdco Continuing Investor pursuant to the Joinder and to make certain other changes to the Exchange Agreement;

 

                NOW, THEREFORE, in consideration of the mutual agreements and covenants set forth herein and in the Exchange Agreement, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties hereby agree as follows:

 

1.             Joinder of Adeline Kempner.  The Exchange Agreement is hereby amended to add Kempner as a party thereto, to be subject to the rights and obligations of a Holdco Continuing Investor under the Exchange Agreement, with the same force and effect as if originally named therein as a Holdco Continuing Investor.

 

2.             Amendment to Exhibit A.  Exhibit A of the Exchange Agreement is hereby amended in its entirety to read as set forth on Exhibit A attached hereto.

 

3.             Uncertificated Shares and Units.  Notwithstanding any provision of the Exchange Agreement to the contrary, at the Exchange Closing, (a) the Company shall not be required to deliver stock certificates representing shares of Company Preferred Stock or Class A Common Stock under Section 2.2(a) and (c)—(f) of the Exchange Agreement; (b) Parent shall not be required to deliver stock certificates representing shares of  Class C Preferred Stock or Class D Preferred Stock under Section 2.2(b), (e) and (f) of the Exchange Agreement; and (c) Holdco shall not be required to deliver certificates representing Holdco Series C Units under Section 2.2(d) of the Exchange Agreement; provided, however, that in lieu of delivering such stock certificates, each of the Company, Parent and Holdco shall make appropriate book-entry notations in its books and records to reflect the issuances and/or transfers of its shares of stock or units, as applicable, described in the foregoing sections of the Exchange Agreement.

 

4.             Effective Date; Effectiveness of Other Terms.  This Amendment is effective as of the date first set forth above.  Except as expressly amended by this Amendment, the Exchange Agreement remains in full force and effect without modification.

 

5.             Miscellaneous.  Sections 5.5, 5.7-5.8, 5.12 and 5.14-5.15 of the Exchange Agreement are incorporated herein by reference and shall apply to this Amendment, mutatis mutandis.

 

 

 

[Signature Page Follows.]

 

3


 

IN WITNESS WHEREOF, the Parties have executed this Amendment as of the date first written above.

 

 

INSIGHT COMMUNICATIONS COMPANY,
INC.

 

 

 

 

 

By:

/s/ Michael S. Willner

 

 

Name:    Michael S. Willner

 

Title: President & Chief Executive Officer

 

 

 

INSIGHT ACQUISITION CORP.

 

 

 

 

 

By:

/s/ William E. Kennard

 

 

Name:

 William E. Kennard

 

Title:

President

 

 

 

 

 

/s/ Sidney R. Knafel

 

 

SIDNEY R. KNAFEL

 

 

 

 

 

/s/ Michael S. Willner

 

 

MICHAEL S. WILLNER

 

 

 

 

 

CARLYLE PARTNERS III
TELECOMMUNICATIONS, L.P.

 

By:

TC Group III, L.P., its General Partner

 

By:

TC Group III, L.L.C., its General Partner

 

By:

TC Group, L.L.C., its Managing Member

 

 

 

 

 

By:

/s/ William E. Kennard

 

 

 

Name:

William E. Kennard

 

 

Title:

Managing Director

 


 

 

CP III COINVESTMENT, L.P.

 

By:

TC Group III, L.P., its General Partner

 

By:

TC Group III, L.L.C., its General Partner

 

By:

TC Group, L.L.C., its Managing Member

 

By:

TCG Holdings, L.L.C., its Managing Member

 

 

 

By:

/s/ William E. Kennard

 

 

 

Name:

William E. Kennard

 

 

Title:

Managing Director

 

 

 

CARLYLE PARTNERS IV
TELECOMMUNICATIONS, L.P.

 

By:

TC Group IV, L.P., its General Partner

 

By:

TC Group IV, L.L.C., its General Partner

 

By:

TC Group, L.L.C., its Managing Member

 

 

 

 

 

By:

/s/ William E. Kennard

 

 

 

Name:

William E. Kennard

 

 

Title:

Managing Director

 

 

 

CP IV COINVESTMENT, L.P.

 

By:

TC Group IV, L.P., its General Partner

 

By:

TC Group IV, L.L.C., its General Partner

 

By:

TC Group, L.L.C., its Managing Member

 

By:

TCG Holdings, L.L.C., its Managing Member

 

 

 

 

 

By:

/s/ William E. Kennard

 

 

 

Name:

William E. Kennard

 

 

Title:

Managing Director

 


 

EXHIBIT A

 

CONTINUING INVESTORS

 

Name of Continuing
Investors

 

Number of
Shares of
Class B
Common
Stock Owned

 

Number of
Shares of
Class A
Common
Stock
Owned*

 

Number of
Shares of
Class A
Common
Stock to be
Exchanged
Per Sections
1.4 or 1.5

 

Number of
Shares of
Company
Preferred
Stock to be
Received Per
Section 1.1

 

 

 

 

 

 

 

 

 

 

 

Management Shareholders

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Sidney R. Knafel

 

 

 

 

 

 

 

398,591

 

 

 

 

 

 

 

 

 

 

 

Knafel Family Foundation

 

 

 

50,000

 

50,000

 

 

 

 

 

 

 

 

 

 

 

 

 

ICI Communications, Inc.

 

3,427,177

 

3,427,177

 

3,427,177

 

 

 

 

 

 

 

 

 

 

 

 

 

E/O Susan Knafel, Sidney R. Knafel, Executor

 

425,955

 

425,955

 

425,955

 

 

 

 

 

 

 

 

 

 

 

 

 

Andrew G. Knafel, Joshua Rubenstein and William L. Scherlis, Trustees, under Trust F/B/O Andrew G. Knafel 9/13/78

 

1,044,188

 

1,044,188

 

1,044,188

 

117,821

 

 

 

 

 

 

 

 

 

 

 

Andrew G. Knafel et al, Trustees, under Trust F/B/O Douglas R. Knafel 9/13/78

 

1,044,188

 

1,044,188

 

1,044,188

 

117,821

 

 

 

 

 

 

 

 

 

 

 

Andrew G. Knafel et al, Trustees, under Trust F/B/O Andrew G. & Douglas R. Knafel 7/16/76

 

535,825

 

535,825

 

535,825

 

60,460

 

 

 

 

 

 

 

 

 

 

 

Andrew G. Knafel et al, Trustees, under Trust F/B/O Douglas R. Knafel 11/6/83

 

386,413

 

386,413

 

386,413

 

43,600

 

 

 

 

 

 

 

 

 

 

 

Michael S. Willner

 

1,100,068

 

1,100,068

 

731,552

 

110,652

 

 

 

 

 

 

 

 

 

 

 

Robert L. Winikoff, Trustee, Danielle A. Willner Trust U/A DTD 11/2/98

 

3,224

 

3,224

 

3,224

 

 

 

 

 

 

 

 

 

 

 

 

 

Robert L. Winikoff, Trustee, Matthew S. Willner Trust U/A DTD 11/2/98

 

3,224

 

3,224

 

3,224

 

 

 

 

 

 

 

 

 

 

 

 

 

James S. Marcus

 

132,779

 

132,779

 

132,779

 

 

 

 

 

 

 

 

 

 

 

 

 

Thomas L. Kempner

 

 

 

60,668

 

60,668

 

 

 

 

 

 

 

 

 

 

 

 

 

Loeb Holding Corporation

 

 

 

160

 

0

 

 

 

 

 

 

 

 

 

 

 

 

 

E/O Nan Kempner, Thomas L. Kempner, Executor

 

 

 

31,051

 

31,051

 

 

 

 


 

Thomas L. Kempner & William A. Perlmuth, Trustees, U/I/D 5/19/64 Thomas Kempner Children

 

 

 

21,051

 

21,051

 

 

 

 

 

 

 

 

 

 

 

 

 

Alan H. Kempner, Jr., Thomas L. Kempner, & Jerome A. Manning, Trustees, U/I 11/7/69 F/B/O Alan H. Kempner III

 

 

 

12,700

 

12,700

 

 

 

 

 

 

 

 

 

 

 

 

 

Carl L. Kempner & Thomas L. Kempner, Trustees, U/A DTD 9/4/85 Alan H. Kempner Jr. Grantor Tr.

 

 

 

72,103

 

72,103

 

 

 

 

 

 

 

 

 

 

 

 

 

Thomas L. Kempner & Jerome A. Manning, Trustees, F/B/O Kempner Grandchildren’s Trust DTD 5/19/64

 

 

 

36,051

 

36,051

 

 

 

 

 

 

 

 

 

 

 

 

 

Thomas L. Kempner & William A. Perlmuth, Trustees, U/W Carl M. Loeb 1/3/55 Trust F/B/O Thomas L. Kempner

 

 

 

264,377

 

264,377

 

 

 

 

 

 

 

 

 

 

 

 

 

Andrew G. Knafel

 

386,413

 

386,413

 

386,413

 

 

 

 

 

 

 

 

 

 

 

 

 

John Abbot

 

 

 

9,000

 

6,000

 

 

 

 

 

 

 

 

 

 

 

 

 

Elliot Brecher

 

 

 

1,000

 

1,000

 

 

 

 

 

 

 

 

 

 

 

 

 

Pamela Euler Halling

 

 

 

200,280

 

72,954

 

 

 

 

 

 

 

 

 

 

 

 

 

Mary E. Rhodes

 

 

 

42,948

 

17,920

 

 

 

 

 

 

 

 

 

 

 

 

 

Elizabeth M. Grier

 

 

 

93,246

 

33,453

 

 

 

 

 

 

 

 

 

 

 

 

 

Charles E. Dietz

 

 

 

117,187

 

77,000

 

 

 

 

 

 

 

 

 

 

 

 

 

Daniel Mannino

 

 

 

110,928

 

41,200

 

 

 

 

 

 

 

 

 

 

 

 

 

Heather Wright

 

 

 

29,525

 

10,620

 

 

 

 

 

 

 

 

 

 

 

 

 

Mara R. Bannard

 

 

 

10,170

 

10,170

 

 

 

 

 

 

 

 

 

 

 

 

 

Gregory B. Graff

 

 

 

2,987

 

1,698

 

 

 

 

 

 

 

 

 

 

 

 

 

John W. Hutton

 

 

 

2,000

 

2,000

 

 

 

 

 

 

 

 

 

 

 

 

 

Walter Kelley

 

 

 

528

 

528

 

 

 

 

 

 

 

 

 

 

 

 

 

Dan McComas

 

 

 

1,500

 

1,500

 

 

 

 

 

 

 

 

 

 

 

 

 

James D. Morgan

 

 

 

1,075

 

1,075

 

 

 

 

 

 

 

 

 

 

 

 

 

Subtotal – Management Shareholders

 

8,489,454

 

9,659,989

 

8,946,057

 

848,945

 

 

 

 

 

 

 

 

 

 

 

Holdco Continuing Investors

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Helen-Mae Askin

 

 

 

20,178

 

20,178

 

 

 

 

 

 

 

 

 

 

 

 

 

Nancy Askin

 

 

 

24,081

 

24,081

 

 

 

 

 

 

 

 

 

 

 

 

 

Seymour R. Askin, Jr.

 

 

 

206,625

 

206,625

 

 

 

 

 

 

 

 

 

 

 

 

 

Gerold Bezzenberger

 

 

 

50,000

 

40,000

 

 

 

 

 

 

 

 

 

 

 

 

 

Victoria Hamilton

 

 

 

22,100

 

22,100

 

 

 

 

 

 

 

 

 

 

 

 

 

K. David Issacs

 

 

 

1,500

 

1,500

 

 

 

 


 

Kaufman Family Interests, L.P.

 

 

 

171,140

 

171,140

 

 

 

 

 

 

 

 

 

 

 

 

 

Jeffrey A. Kaufman

 

 

 

34,775

 

34,775

 

 

 

 

 

 

 

 

 

 

 

 

 

Jonathan A. Kaufman

 

 

 

28,521

 

28,521

 

 

 

 

 

 

 

 

 

 

 

 

 

Mercedes Kaufman, Trustee, The Betty K. Weisberger Trust

 

 

 

66,046

 

66,046

 

 

 

 

 

 

 

 

 

 

 

 

 

John S. Scherlis

 

 

 

5,000

 

1,000

 

 

 

 

 

 

 

 

 

 

 

 

 

Leonard & Barbara Scherlis

 

 

 

16,974

 

16,974

 

 

 

 

 

 

 

 

 

 

 

 

 

Thomas G. Scherlis

 

 

 

1,836

 

1,836

 

 

 

 

 

 

 

 

 

 

 

 

 

Sophia G. Scherlis

 

 

 

1,836

 

1,836

 

 

 

 

 

 

 

 

 

 

 

 

 

Lillian C. Scherlis

 

 

 

1,836

 

1,836

 

 

 

 

 

 

 

 

 

 

 

 

 

William L. Scherlis

 

 

 

2,404

 

2,404

 

 

 

 

 

 

 

 

 

 

 

 

 

Bruce Levy

 

 

 

13,278

 

13,278

 

 

 

 

 

 

 

 

 

 

 

 

 

Marc Nathanson

 

 

 

20,000

 

20,000

 

 

 

 

 

 

 

 

 

 

 

 

 

Arthur Shulman

 

 

 

16,800

 

16,800

 

 

 

 

 

 

 

 

 

 

 

 

 

Ann Bernhard

 

 

 

1,000

 

1,000

 

 

 

 

 

 

 

 

 

 

 

 

 

Adeline Kempner

 

 

 

14,421

 

14,421

 

 

 

 

 

 

 

 

 

 

 

 

 

Alan H. Kempner, III

 

 

 

264,377

 

264,377

 

 

 

 

 

 

 

 

 

 

 

 

 

Judith M. Bishop, Trustee, Carl Loeb Kempner, Jr. Trust U/A 5/19/1964

 

 

 

12,252

 

6,000

 

 

 

 

 

 

 

 

 

 

 

 

 

Doris Kempner

 

 

 

30,306

 

15,153

 

 

 

 

 

 

 

 

 

 

 

 

 

Mary L. Umlauf, Trustee, Kathryn Kempner Poteat Trust U/A 5/19/1964

 

 

 

11,526

 

10,000

 

 

 

 

 

 

 

 

 

 

 

 

 

Michael Kempner

 

 

 

15,068

 

7,500

 

 

 

 

 

 

 

 

 

 

 

 

 

Michael Ward, Trustee, Michael Coleman Kempner Trust U/A 5/19/1964

 

 

 

10,026

 

5,000

 

 

 

 

 

 

 

 

 

 

 

 

 

Subtotal - Holdco Continuing Investors

 

0

 

1,063,906

 

1,014,381

 

0

 

 

 

 

 

 

 

 

 

 

 

Total

 

8,489,454

 

10,723,895

 

9,960,438

 

848,945

 

 

*Includes shares of Class A Common Stock received upon conversion of the shares of Class B Common Stock pursuant to Section 1.3 and all of the Loan Program Exchange Shares issued in May 2005, but does not include Company Deferred Shares, Company Options or shares held in such Management Shareholder’s 401(k) account.